The fatal flaws of Obamacare

obamacare_screw_o_1When the Affordable Care Act was enacted five years ago, I was aware of its flaws, but I thought it represented an advance over what we had before.

Obamacare did give access to health insurance to millions of Americans, including people with pre-existing conditions, who otherwise wouldn’t have been able to get it.   The tradeoff was that it created a captive market for the health insurance companies to provide bad insurance.

My e-mail pen pal Bill Harvey sent me a link to an article by a Dr. John P. Geyman for the International Journal of Health Services which, in my opinion, sums up the problems with Obamacare very well.

  1. Health care “reform” through the ACA was framed and hijacked by corporate stakeholders.
  2.  You can’t contain health care costs by permitting for-profit health care industries to pursue their business “ethic” in a deregulated marketplace.
  3. You can’t reform the delivery system without reforming the financing system.
  4. The private health insurance industry does not offer enough value to be bailed out by the government.
  5.  In order to achieve the most efficient health insurance coverage, we need the largest possible risk pool to spread risks and avoid adverse selection.

Dr. Geyman thinks the answer is a single-payer health system, financed by taxes which covers everyone.  Such a system would be cheaper for most people than a private system because it simplifies administration and subtracts the need for profit.

One reason why such a system wasn’t considered in 2010, in addition to the entrenched power of pharmaceutical and health insurance lobbyists, was that many Americans were satisfied with their existing insurance and didn’t want to risk an unknown system.

Now private insurance has changed for the worse for most people.  Unfortunately, it will be very natural for people to see the inadequacies of Obamacare as an argument against any government health insurance plan at all.

LINK

A Five-Year Assessment of the Affordable Care Act: Market Forces Still Trump the Common Good in U.S. Health Care by John P. Geyman for the International Journal of Health Services.   (Hat tip to Bill Harvey)

Tags: , , , ,

One Response to “The fatal flaws of Obamacare”

  1. prayerwarriorpsychicnot Says:

    Reblogged this on Citizens, not serfs.

    Like

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.


%d bloggers like this: